Date: 09/06/2004
Source: Ministry of Agriculture and Land Affairs
Title: T Didiza: Debate on Agriculture and Land Affairs Dept Budget Vote, NCOP
NATIONAL COUNCIL OF PROVINCES DEBATE ON BUDGET VOTE SPEECH, BY MINISTER OF AGRICULTURE AND LAND AFFAIRS MS THOKO DIDIZA, MP, Cape Town, 9 June 2004
Madam Chairperson
Honourable Members of Parliament
Members of Executive Councils responsible for Agriculture and Land Affairs present today
Director's General and senior officials from the Departments of Land Affairs and Agriculture
Chief Land Claims Commissioner and the Regional Land Claims Commissioners
Ladies and Gentlemen
As we come to second decade of freedom we are remain conscious of our responsibilities as public representatives. The April general Elections has once again affirmed the African National Congress as the people's party that is capable to change their socio-economic conditions for the better and thereby dealing with issues of poverty and underdevelopment in our midst.
Madam Chair, as the representatives of the African National Congress, I want to commit that indeed we will do whatever it takes to deliver on the people's mandate received in these elections. We will work diligently to ensure that the contract we have entered into with our people in creating work and fighting poverty and underdevelopment is achieved.
In the past weeks both Departments briefed the Select Committee on how the previous year budget was spent. Strategic plans for 2004/2005 were also table taking into consideration some of the adjustments to take into consideration the mandate received from our electorate articulated in the State of the Nation's address, by President Mbeki in this august house.
Madam Speaker, our ten-year review has highlighted the achievements of the first decade of democracy. It is important to capture a few of these without being elaborate. The policies of the democratic government in the areas of land and agriculture have resulted in a situation where we have changed the land ownership patterns in our country and given hope to the majority of those who were historically disenfranchised that the possibility for a better life is real for all of us.
It is in part through the processes of land reform that we have been able to create a new class of producers that have started to reflect the demographics of our country and thereby moving closer towards deracialising our agricultural sector, and our country's economy. It is also true that as we introduced new participants we have also dealt with other subtle discrimination such as gender stereotype in our society where women have never been regarded as farmers let alone successful ones.
Honourable members, for us change has meant building something new. We have in the first decade of freedom ensured that even established commercial producers of our country undergo change in order to become more competitive in the international trade arena. We have worked tirelessly with the department of foreign affairs and trade and industry to ensure that where opportunities for trade present themselves, we are able to take advantaged of those for our producers.
Madam Chairperson, in reflecting on some of our successes it is necessary to acknowledge the role that has been played by Provincial Governments and the Municipality in ensuring that we can resolve some of the immediate challenges that we face such as poverty alleviation. The support given to Municipalities on the Commonage program has meant the local government sphere can assist to alleviate poverty to their immediate communities by given them access to land which they can utilize to supplement their income or even subsist from it.
The department of agriculture's Integrated Food and Nutrition programme which has become a social sector cluster priority has and is aimed to ensure that we can intervene to assist those who are food insecure either as a result to natural disaster or any other form of risk that have a negative impact to them including poverty.
It is humbling to note the initiatives that have been undertaken by various municipalities in the country on matters of food security. I wish to acknowledge the Nelson Mandela Metro ploughing fields projects, and the Oliver Tambo District amongst other who have worked with Provincial Government and the private sector in initiating and promoting urban and communal gardens in order to assist poor and vulnerable communities to produce food for them while creating possibilities for income generation at that local level.
Madam Chairperson, some of the success stories in this regard are the initiatives taken in partnership with Provincial departments of agriculture. We have distributed production support packages to 37 000 households out of our 50 000 target we had set for ourselves. We have started, for example, in Limpopo Province to provide poor people with day old chicks, point of lay hens, and young lactating cows, which in various combinations form the agricultural starter, pack. These in turn produce milk, eggs and meat and in some cases even surplus production, which enable people to sell and obtain income. In Eastern Cape the mass food production programme has meant the consolidation of homesteads field into one big unity where the government has provided fencing and contributed to certain infrastructure such as small irrigation and mechanization input. The Xhoshi'ndlala initiative of KwaZulu-Natal has also created the possibilities for many poor people to produce for themselves and thereby dealing with issues of food insecurity.
As part of our on going partnership with Civil Society Organisation and the Private sector, we have supported some community groups involved in back yard gardens in Khayelitsha, Gugulethu and Nyanga, who through the support on seeds have been able to supplement their income, while feeding themselves.
Madam Chair some of these interventions are an indication of what our programmatic interventions can do to improve the livelihood of our people. They also create a possibility for creation of employment and a meaningful way of attacking poverty. We all know that hunger is one of the manifestations of poverty.
Honourable members we have taken stock of our achievement in the past decade and this is well documented in our ten year review publication. It is however important to note that the same ten-year review highlighted some challenges that we still face in our land and agrarian reform. These arise out of our own analysis of the impact of our policies and programmes. For instance, for a number of years the land reform budget has been on the increase, in particular the Restitution programme. This has created possibilities for us to settle as 48 852 claims, with a number of hectors of land being delivered to communities. Of note Madam Speaker is nature of rural claims that we have delivered thus far. They comprise agricultural land where you have agricultural enterprises that are viable, conservation areas, forestry and mining.
We are conscious of the challenge these settlement pose to sustainable development. In response to these the Commission has tried to ensure that necessary support after settlement is given to these communities. As we move forward with this programme we remain aware of the ongoing challenge that these communities and others who are to benefit through these programmes will face.
Honourable members, the other programmes of land reform such as redistribution and tenure have also moved abreast. As you may all be aware that the reduction of the project cycle has been with us for some time now, we have now reduced it to between 4 and six months. We have also reduced the number of beneficiaries who get supported as a group to a manageable number per project, thus increasing the prospects for the sustainability of our projects as production units.
Government has continued to contribute to land reform not only through financial resources received out of our budget, but has also contributed with assets from the land that is held by the state. To date 772 626 hectors have been delivered under the State Land Disposal Programme.
These achievements reflect the commitment that government has made through our budget. However this budget increase on land delivery has not been matched adequately by the agricultural budget posing a threat to sustainability of agricultural programmes as highlighted in the case of land restitution and LRAD specifically. At the same time the weakness of coordination has been noted between the various spheres of government and within departments.
As representatives of Provinces in this house one of the areas we may need to look into is to what extent the public land held by Municipalities and provinces enable us to change the settlement patterns in our country. Obviously Provinces and Municipality cannot be expected to address this challenge of the integration of cities alone, it will an integrated approach between the various spheres of government. Also with little public assets available such as land within the authority of these spheres of government, it possible to ensure that the policy and legislatives choices that are taken at this level enables all of us to start to integrate our cities in a meaningful way.
Honourable members, while the challenge of integration is a matter we must continuously engage, you will recall that it was in the year 2000 that we started in a meaningful way to coordinate on a project basis particularly in restitution projects and these initiatives have born good results. The Payneville, Pelcra and District Six housing development projects are just but some examples that show the benefits of working together.
The initiative taken by a number of Provincial Departments of Agriculture in supporting Restitution beneficiaries through extension advice and support as well as making available bursaries to students coming from these communities as an investment for the future are welcomed.
These processes and examples share honourable members indicate to all of as we undertake our land reform programme particularly restitution we can also contribute in rebuilding communities that were made dysfunctional by the apartheid regime.
Land and Agrarian reform as we all know is a journey. Many strategic decisions and tactical moves have to be made at every point in order to succeed. Through the Presidential Working Group an Agricultural Sector Plan was developed. This sector plan outlines specific areas that all the partners have committed themselves to if we are to have a United Prosperous Agricultural Sector in Our Country. This in my view is already a contract. This vision has given a framework for collaboration between government on one hand and the agricultural unions on the other.
Madam Chairperson, the strategic plan for the Department of Agriculture, which has been tabled in this house in accordance with the set rules, serves as the framework for the consideration of the budget vote 26 - which we shall debate today. This strategic plan is derived from a deep understanding of the concerns and aspirations of the diverse client base of the Department of Agriculture. It responds to the call to action - to a people's contract - made by the African National Congress in its election manifesto.
The past ten years of democracy, we have put in place a vision of unity and prosperity for the sector that is embraced by the key stakeholders. It creates a policy environment that seeks to boldly enhance participation and equity in the agricultural sector, enhance competitiveness and profitability along the total agricultural value chain and ensure the sustainable management and use of the scarce and precious natural agricultural resources in the country.
We have further aligned our vision with that of the continental programme for NEPAD and specifically the Comprehensive African Agricultural Programme which is increasingly acknowledged as a critical building block in the implementation of NEPAD and the attainment of the Millennium Developments Goals for 2015 of reducing food insecurity in Africa.
Honourable members, the strategic plan for Land Affairs, give us a clearer picture on what are the priorities for the coming year. This plan also accommodates the time lines for the completion of Restitution. It also take into consideration the need for focusing on the resolution of the Labour tenants claims, which sadly affects the majority of our rural poor communities in commercial farms.
The challenge facing us in the coming ten years is to ensure that there is support to our land reform beneficiaries in a manner that enable communities and individuals to use their assets in a manner that create work opportunities and incomes for those who have received the land.
Madam Chairperson, before the end of the previous term this house passed the Communal Land Rights Bill. An implementation plan is being developed working together with the department of Provincial and Local Government. The first phase will include the land inquiry process supported by surveying these pieces of land, setting up of administrative structures and putting in place for a training program for such structures and communities. This will help the communities to understand how the legislation will be implemented.
Land and agrarian reform is not just a challenge facing South Africa; it is however a Southern African challenges. Through SADC we will continue to make our contribution in terms of policy as well as sharing practical experiences while we humble ourselves to learn on the experiences of others. We have as part of our work participated in the conceptualisation of the Land Reform Facility that will be part of the FANR directorate of SADC. It is our hope that the setting up of this programme by SADC will enable all of us in the region to work in partnership to address some of the continuing land challenges of our time, sadly all of which are a legacy of our Colonial past.
Madam Chairperson, between June 2003 and March 2004 we settled 1 655 black farmers through LRAD and the cumulative figure of beneficiaries of LRAD since we launched the programme in 2001 is 19 736. Our experience of implementing the Land Reform for Agricultural Development (LRAD) and the Restitution Programme over the past ten years makes it clear that it is not sufficient to provide prospective farmers with access to land without also providing government support for production inputs and technical advisory services.
It is on the basis of this that we have committed R210 million (Two hundred and ten million rand) as a new allocation for the current year within Programme 2 2004/05 for the initial roll out of the implementation of the Comprehensive Agricultural Support Programme. It includes the provision for conditional grants as a supplement to provincial departments of agriculture budgets to improve and increase farmer support services. This development flows directly out of work done last year as a follow up to the intergovernmental fiscal review report on agricultural public expenditure at the national and provincial levels.
Madam Speaker - Honourable Members - CASP - the Comprehensive Agricultural Support Programme shall, over the next Medium Term Expenditure period become the main - all encompassing programme of focus for the Department of Agriculture. The overall aim of the Comprehensive Agricultural Support Programme is to provide post settlement support to beneficiaries of the Land Reform processes - namely restitution, land redistribution - including LRAD and in the coming period, land tenure reform.
In the coming period we shall undertake further work and consultation to ensure provision of support in the other four areas of CASP namely - Technical and Advisory Assistance, and Regulatory Services; Training and Capacity building; Marketing and Business Development and Financial Assistance.
This approach to implementation and improved service delivery calls for a dynamic and effective working relationship with the provincial departments of agriculture and indeed the local authorities. I am pleased to say with the new team of MECs - the Deputy Minister and I have already started work. We have adopted a common budget programme structure that will make it easier to both align and quantify financial resources allocations both at national as well as at the provincial levels. We have already disbursed 25% (twenty five percent) of the conditional grant to the provinces are now in the process of working together to finalize the locus of expenditure within mutually agreed business plans. The Department of Land Affairs, the Department of Provincial and Local Government and the Land Restitution Commission are also involved in this process.
Honourable members the 210 million rends allocated to CASP in this financial year will be made available to individuals and or groups for purposes of erecting fences, dipping services infrastructure and infrastructure to support the handling and marketing of livestock (stock handling facilities). At the same time through the linked programme for food production within the context of the Integrated Food and Nutrition Security Programme we shall also work with the provinces and other national departments involved in the social cluster to ensure the availability of agricultural starter packs for poor people.
We already have success stories in Limpopo where the benefits these starter packs can bring to the poor are best expressed in the words of one woman who had received 18 point of lay chickens who was speaking to the MEC of the province when she said - MEC sihluti ngamqanda siyawathya sesiyawa tengisa. Inkhukhu zakho futhi sezizele amanchoncho amaningi ndilkulindel ukuthi uzokuyathatha.
Honourable members, as part of the Government wide initiative of creating work opportunities through the expanded public works programme, we shall continue to support land care projects. This year we have committed R72 million which is targeted as closing dongas, clearing bush encroachment and introducing new water harvesting technologies to support poor black farmers and communities with priority being given to areas such as Sterkspruit, Nongoma, former Transkei and Ciskei and within the rural development nodes.
Madam Chairperson, we will endeavour to use labour intensive methods even on this infrastructure that will be developed through the comprehensive agricultural program allocation.
Madam Chairperson, The President in his State of the Nation Address announced that the Department will have an AGRIBEE framework out for public comment in July - I am pleased to confirm that work is on track to meet this deadline. This framework will be the result of consultations that we have had in the sector for some months. It has included focused discussion sometimes on commodity specific industry and in other instances broad participation of individuals either in the specific sector or those with an interest. The intention of this framework is to ensure that in looking at Broad Based Black Economic empowerment within our sector we do so in the entire value chain.
The people's contract:
In support of the President's call for closer partnership between the public and private sectors to develop action plans to help realise the vision of a united and prosperous agricultural sector - South Africa's cotton growers joined by their input suppliers, output processors and the national Department of Agriculture, developed a strategic plan for the South African Cotton Sector. Honourable members, we have already moved from strategy to implementation of the cotton strategy. Black Farmers some of whom assisted through LRAD are now being assisted to grow cotton on 9000ha of land in four provinces.
We further welcome the targets set by the established sugar industry to ensure the redistribution of at least 78 000ha of sugar producing lands to black farmers by 2015 as part of their contribution to the 30% national target of redistribution of agricultural land. In this year government has already committed R6million towards the first phase of the programme.
I am very pleased with the progress in some of the commodity sectors and wish to commend those who started working on the commodity strategies on their own such as the Ostrich Industry, the Stock Owners and the Wheat Industry. Proactive contributions from - particularly the private established sector is welcomed - it can only serve to contribute to a renewed business confidence, which in turn should contribute to the creation of new employment and self-employment opportunities in the sector.
Madam Chairperson and honourable members what do we commit ourselves to in this current year:
1. We shall work vigorously to continue implementation of land reform programme in alignment with the roll out of CASP and in partnership with the agricultural sector. The impact of our land reform programs must translate into equity and economic growth in the agricultural sector
2. A comprehensive implementation plan for the completion of the remainder of restitution claim that includes budgetary requirements for post settlement initiatives will be presented to the forum of Agricultural Minmec by the 1st week of July
3. Within two months we shall take to Cabinet and make public our agricultural biotechnology policy that is also intended to add to the scope of opportunity that exists for entrepreneurship and improving competitiveness of the agricultural sector
Together with the Department of Science and Technology we believe that the new bio-economy presents vast opportunities for the first and second economy in our country. In moving forward we believe the opportunity lies within the nexus of institutional efficiency, research and development and human resources development.
The work Madam Speaker and honourable members the work we have started on positioning the Agricultural Research Council to play an important role in the development of appropriate technologies that better responds to challenges of small and medium farmers, as well as established commercial sector will continue.
4. Through the ARC we shall develop a pilot technology incubator system for cut flowers by 31 January 2005, which will be used to develop resource poor farmers in rural communities. We shall further train 39 scientists by 31 December 2004 in Research for Development methods for resource poor farmers.
As indicated in the past the financing of agricultural is much of our concern as is it yours. This is so because of the negative impact that this has to our sector. The Laboratory at Onderstepoort Vaccine Institute will need some rehabilitation work in order for us to ensure that we can respond in time when we are required to do so.
We are Madam Speaker happy that with all the other challenges that we may have, the Onderstepoort Biological Factory continues to produce vaccines that are so crucial for the livelihood of our animal population. Our export figures even though still reflect the trade with countries mostly in Europe, they non-the less reflects a sturdy increase in the Continent.
Madam Speaker as indicated earlier, there is a need to focus on human resource development challenge. Over the past year my department has developed several policies and programmes. Of note is the bursary scheme - where this year we shall be awarding bursaries to 120 students in different universities.
Next month our first intake of interns will be completing their time with us. Of the 94 interns we took, 22 of them have already found jobs.
5. The department has already advertised for a new intake of 152 interns who will start with us from August onwards. Our experience points to a need to continue this programme of internships and to also encourage all our partners in private sector and the non-governmental sector to take up the challenge of exposing our youth to their work environment.
6.In partnership with the Pretoria University, Umsobomvu Youth Fund, NDA, EPA and 40 Agricultural Business Enterprises about 45/40 young agricultural graduates were placed in these enterprises with an aim of getting work experience at the same time linked to the furtherance of their academic careers.
7. Through the special bursary scheme for surveying, geomantic and cartography 57 young students from the historically disadvantaged communities have been awarded bursaries. During this current year 75 students have been awarded bursaries.
Madam speaker, Honourable Members - the Department of Agriculture is responsible for the delivery of a number of critical regulatory and control services aimed at ensuring that the country is disease free - with respect to both animal and plant diseases, and that we can certify and give the appropriate assurances to facilitate the exports of our agricultural produce. We work in collaboration with the department of health ensure that the food you all eat that is produced in South Africa is safe.
8. In this year we shall be presenting our food safety and traceability policy and implementing improved animal disease control measures.
8.1 I am therefore pleased to announce that after extensive discussion and negotiations with the South African Police Service and the Airports Company of South Africa (ACSA) we are now ready to launch a new inspection service at our ports of entry. We will start at Johannesburg International Airport by August this year and roll out to the other 76 land, sea and airports.
The President in his State of the Nation Address announced, "We will re-establish the Agricultural Credit Scheme (ACS) in the Department of Agriculture to provide capital for this sector, and that R1 billion is immediately available to start the ACS."
In August this year I will make a further announcement on the Scheme that we hope will stimulate greater access and participation in the broadening of rural financial markets.
Madam Chairperson and honourable members, our work programme for this year does indicate the need for closer alignment between these two departments whose budget we are debating today. If our land and agrarian reform is to succeed we need to ensure that joint planning occurs at an early stage. Our approach to work, as civil service will need take into consideration the commitment that our President and government have made to the people of our country. Indeed Batho Pele must be a living motto for us all. I therefore believe that if we work together in a people's contract with communities we can indeed make a better life for our people a reality.
I thank you.
Issued by: Ministry of Agriculture and Land Affairs
9 June 2004
Source: Ministry of Agriculture and Land Affairs
Title: T Didiza: Debate on Agriculture and Land Affairs Dept Budget Vote, NCOP
NATIONAL COUNCIL OF PROVINCES DEBATE ON BUDGET VOTE SPEECH, BY MINISTER OF AGRICULTURE AND LAND AFFAIRS MS THOKO DIDIZA, MP, Cape Town, 9 June 2004
Madam Chairperson
Honourable Members of Parliament
Members of Executive Councils responsible for Agriculture and Land Affairs present today
Director's General and senior officials from the Departments of Land Affairs and Agriculture
Chief Land Claims Commissioner and the Regional Land Claims Commissioners
Ladies and Gentlemen
As we come to second decade of freedom we are remain conscious of our responsibilities as public representatives. The April general Elections has once again affirmed the African National Congress as the people's party that is capable to change their socio-economic conditions for the better and thereby dealing with issues of poverty and underdevelopment in our midst.
Madam Chair, as the representatives of the African National Congress, I want to commit that indeed we will do whatever it takes to deliver on the people's mandate received in these elections. We will work diligently to ensure that the contract we have entered into with our people in creating work and fighting poverty and underdevelopment is achieved.
In the past weeks both Departments briefed the Select Committee on how the previous year budget was spent. Strategic plans for 2004/2005 were also table taking into consideration some of the adjustments to take into consideration the mandate received from our electorate articulated in the State of the Nation's address, by President Mbeki in this august house.
Madam Speaker, our ten-year review has highlighted the achievements of the first decade of democracy. It is important to capture a few of these without being elaborate. The policies of the democratic government in the areas of land and agriculture have resulted in a situation where we have changed the land ownership patterns in our country and given hope to the majority of those who were historically disenfranchised that the possibility for a better life is real for all of us.
It is in part through the processes of land reform that we have been able to create a new class of producers that have started to reflect the demographics of our country and thereby moving closer towards deracialising our agricultural sector, and our country's economy. It is also true that as we introduced new participants we have also dealt with other subtle discrimination such as gender stereotype in our society where women have never been regarded as farmers let alone successful ones.
Honourable members, for us change has meant building something new. We have in the first decade of freedom ensured that even established commercial producers of our country undergo change in order to become more competitive in the international trade arena. We have worked tirelessly with the department of foreign affairs and trade and industry to ensure that where opportunities for trade present themselves, we are able to take advantaged of those for our producers.
Madam Chairperson, in reflecting on some of our successes it is necessary to acknowledge the role that has been played by Provincial Governments and the Municipality in ensuring that we can resolve some of the immediate challenges that we face such as poverty alleviation. The support given to Municipalities on the Commonage program has meant the local government sphere can assist to alleviate poverty to their immediate communities by given them access to land which they can utilize to supplement their income or even subsist from it.
The department of agriculture's Integrated Food and Nutrition programme which has become a social sector cluster priority has and is aimed to ensure that we can intervene to assist those who are food insecure either as a result to natural disaster or any other form of risk that have a negative impact to them including poverty.
It is humbling to note the initiatives that have been undertaken by various municipalities in the country on matters of food security. I wish to acknowledge the Nelson Mandela Metro ploughing fields projects, and the Oliver Tambo District amongst other who have worked with Provincial Government and the private sector in initiating and promoting urban and communal gardens in order to assist poor and vulnerable communities to produce food for them while creating possibilities for income generation at that local level.
Madam Chairperson, some of the success stories in this regard are the initiatives taken in partnership with Provincial departments of agriculture. We have distributed production support packages to 37 000 households out of our 50 000 target we had set for ourselves. We have started, for example, in Limpopo Province to provide poor people with day old chicks, point of lay hens, and young lactating cows, which in various combinations form the agricultural starter, pack. These in turn produce milk, eggs and meat and in some cases even surplus production, which enable people to sell and obtain income. In Eastern Cape the mass food production programme has meant the consolidation of homesteads field into one big unity where the government has provided fencing and contributed to certain infrastructure such as small irrigation and mechanization input. The Xhoshi'ndlala initiative of KwaZulu-Natal has also created the possibilities for many poor people to produce for themselves and thereby dealing with issues of food insecurity.
As part of our on going partnership with Civil Society Organisation and the Private sector, we have supported some community groups involved in back yard gardens in Khayelitsha, Gugulethu and Nyanga, who through the support on seeds have been able to supplement their income, while feeding themselves.
Madam Chair some of these interventions are an indication of what our programmatic interventions can do to improve the livelihood of our people. They also create a possibility for creation of employment and a meaningful way of attacking poverty. We all know that hunger is one of the manifestations of poverty.
Honourable members we have taken stock of our achievement in the past decade and this is well documented in our ten year review publication. It is however important to note that the same ten-year review highlighted some challenges that we still face in our land and agrarian reform. These arise out of our own analysis of the impact of our policies and programmes. For instance, for a number of years the land reform budget has been on the increase, in particular the Restitution programme. This has created possibilities for us to settle as 48 852 claims, with a number of hectors of land being delivered to communities. Of note Madam Speaker is nature of rural claims that we have delivered thus far. They comprise agricultural land where you have agricultural enterprises that are viable, conservation areas, forestry and mining.
We are conscious of the challenge these settlement pose to sustainable development. In response to these the Commission has tried to ensure that necessary support after settlement is given to these communities. As we move forward with this programme we remain aware of the ongoing challenge that these communities and others who are to benefit through these programmes will face.
Honourable members, the other programmes of land reform such as redistribution and tenure have also moved abreast. As you may all be aware that the reduction of the project cycle has been with us for some time now, we have now reduced it to between 4 and six months. We have also reduced the number of beneficiaries who get supported as a group to a manageable number per project, thus increasing the prospects for the sustainability of our projects as production units.
Government has continued to contribute to land reform not only through financial resources received out of our budget, but has also contributed with assets from the land that is held by the state. To date 772 626 hectors have been delivered under the State Land Disposal Programme.
These achievements reflect the commitment that government has made through our budget. However this budget increase on land delivery has not been matched adequately by the agricultural budget posing a threat to sustainability of agricultural programmes as highlighted in the case of land restitution and LRAD specifically. At the same time the weakness of coordination has been noted between the various spheres of government and within departments.
As representatives of Provinces in this house one of the areas we may need to look into is to what extent the public land held by Municipalities and provinces enable us to change the settlement patterns in our country. Obviously Provinces and Municipality cannot be expected to address this challenge of the integration of cities alone, it will an integrated approach between the various spheres of government. Also with little public assets available such as land within the authority of these spheres of government, it possible to ensure that the policy and legislatives choices that are taken at this level enables all of us to start to integrate our cities in a meaningful way.
Honourable members, while the challenge of integration is a matter we must continuously engage, you will recall that it was in the year 2000 that we started in a meaningful way to coordinate on a project basis particularly in restitution projects and these initiatives have born good results. The Payneville, Pelcra and District Six housing development projects are just but some examples that show the benefits of working together.
The initiative taken by a number of Provincial Departments of Agriculture in supporting Restitution beneficiaries through extension advice and support as well as making available bursaries to students coming from these communities as an investment for the future are welcomed.
These processes and examples share honourable members indicate to all of as we undertake our land reform programme particularly restitution we can also contribute in rebuilding communities that were made dysfunctional by the apartheid regime.
Land and Agrarian reform as we all know is a journey. Many strategic decisions and tactical moves have to be made at every point in order to succeed. Through the Presidential Working Group an Agricultural Sector Plan was developed. This sector plan outlines specific areas that all the partners have committed themselves to if we are to have a United Prosperous Agricultural Sector in Our Country. This in my view is already a contract. This vision has given a framework for collaboration between government on one hand and the agricultural unions on the other.
Madam Chairperson, the strategic plan for the Department of Agriculture, which has been tabled in this house in accordance with the set rules, serves as the framework for the consideration of the budget vote 26 - which we shall debate today. This strategic plan is derived from a deep understanding of the concerns and aspirations of the diverse client base of the Department of Agriculture. It responds to the call to action - to a people's contract - made by the African National Congress in its election manifesto.
The past ten years of democracy, we have put in place a vision of unity and prosperity for the sector that is embraced by the key stakeholders. It creates a policy environment that seeks to boldly enhance participation and equity in the agricultural sector, enhance competitiveness and profitability along the total agricultural value chain and ensure the sustainable management and use of the scarce and precious natural agricultural resources in the country.
We have further aligned our vision with that of the continental programme for NEPAD and specifically the Comprehensive African Agricultural Programme which is increasingly acknowledged as a critical building block in the implementation of NEPAD and the attainment of the Millennium Developments Goals for 2015 of reducing food insecurity in Africa.
Honourable members, the strategic plan for Land Affairs, give us a clearer picture on what are the priorities for the coming year. This plan also accommodates the time lines for the completion of Restitution. It also take into consideration the need for focusing on the resolution of the Labour tenants claims, which sadly affects the majority of our rural poor communities in commercial farms.
The challenge facing us in the coming ten years is to ensure that there is support to our land reform beneficiaries in a manner that enable communities and individuals to use their assets in a manner that create work opportunities and incomes for those who have received the land.
Madam Chairperson, before the end of the previous term this house passed the Communal Land Rights Bill. An implementation plan is being developed working together with the department of Provincial and Local Government. The first phase will include the land inquiry process supported by surveying these pieces of land, setting up of administrative structures and putting in place for a training program for such structures and communities. This will help the communities to understand how the legislation will be implemented.
Land and agrarian reform is not just a challenge facing South Africa; it is however a Southern African challenges. Through SADC we will continue to make our contribution in terms of policy as well as sharing practical experiences while we humble ourselves to learn on the experiences of others. We have as part of our work participated in the conceptualisation of the Land Reform Facility that will be part of the FANR directorate of SADC. It is our hope that the setting up of this programme by SADC will enable all of us in the region to work in partnership to address some of the continuing land challenges of our time, sadly all of which are a legacy of our Colonial past.
Madam Chairperson, between June 2003 and March 2004 we settled 1 655 black farmers through LRAD and the cumulative figure of beneficiaries of LRAD since we launched the programme in 2001 is 19 736. Our experience of implementing the Land Reform for Agricultural Development (LRAD) and the Restitution Programme over the past ten years makes it clear that it is not sufficient to provide prospective farmers with access to land without also providing government support for production inputs and technical advisory services.
It is on the basis of this that we have committed R210 million (Two hundred and ten million rand) as a new allocation for the current year within Programme 2 2004/05 for the initial roll out of the implementation of the Comprehensive Agricultural Support Programme. It includes the provision for conditional grants as a supplement to provincial departments of agriculture budgets to improve and increase farmer support services. This development flows directly out of work done last year as a follow up to the intergovernmental fiscal review report on agricultural public expenditure at the national and provincial levels.
Madam Speaker - Honourable Members - CASP - the Comprehensive Agricultural Support Programme shall, over the next Medium Term Expenditure period become the main - all encompassing programme of focus for the Department of Agriculture. The overall aim of the Comprehensive Agricultural Support Programme is to provide post settlement support to beneficiaries of the Land Reform processes - namely restitution, land redistribution - including LRAD and in the coming period, land tenure reform.
In the coming period we shall undertake further work and consultation to ensure provision of support in the other four areas of CASP namely - Technical and Advisory Assistance, and Regulatory Services; Training and Capacity building; Marketing and Business Development and Financial Assistance.
This approach to implementation and improved service delivery calls for a dynamic and effective working relationship with the provincial departments of agriculture and indeed the local authorities. I am pleased to say with the new team of MECs - the Deputy Minister and I have already started work. We have adopted a common budget programme structure that will make it easier to both align and quantify financial resources allocations both at national as well as at the provincial levels. We have already disbursed 25% (twenty five percent) of the conditional grant to the provinces are now in the process of working together to finalize the locus of expenditure within mutually agreed business plans. The Department of Land Affairs, the Department of Provincial and Local Government and the Land Restitution Commission are also involved in this process.
Honourable members the 210 million rends allocated to CASP in this financial year will be made available to individuals and or groups for purposes of erecting fences, dipping services infrastructure and infrastructure to support the handling and marketing of livestock (stock handling facilities). At the same time through the linked programme for food production within the context of the Integrated Food and Nutrition Security Programme we shall also work with the provinces and other national departments involved in the social cluster to ensure the availability of agricultural starter packs for poor people.
We already have success stories in Limpopo where the benefits these starter packs can bring to the poor are best expressed in the words of one woman who had received 18 point of lay chickens who was speaking to the MEC of the province when she said - MEC sihluti ngamqanda siyawathya sesiyawa tengisa. Inkhukhu zakho futhi sezizele amanchoncho amaningi ndilkulindel ukuthi uzokuyathatha.
Honourable members, as part of the Government wide initiative of creating work opportunities through the expanded public works programme, we shall continue to support land care projects. This year we have committed R72 million which is targeted as closing dongas, clearing bush encroachment and introducing new water harvesting technologies to support poor black farmers and communities with priority being given to areas such as Sterkspruit, Nongoma, former Transkei and Ciskei and within the rural development nodes.
Madam Chairperson, we will endeavour to use labour intensive methods even on this infrastructure that will be developed through the comprehensive agricultural program allocation.
Madam Chairperson, The President in his State of the Nation Address announced that the Department will have an AGRIBEE framework out for public comment in July - I am pleased to confirm that work is on track to meet this deadline. This framework will be the result of consultations that we have had in the sector for some months. It has included focused discussion sometimes on commodity specific industry and in other instances broad participation of individuals either in the specific sector or those with an interest. The intention of this framework is to ensure that in looking at Broad Based Black Economic empowerment within our sector we do so in the entire value chain.
The people's contract:
In support of the President's call for closer partnership between the public and private sectors to develop action plans to help realise the vision of a united and prosperous agricultural sector - South Africa's cotton growers joined by their input suppliers, output processors and the national Department of Agriculture, developed a strategic plan for the South African Cotton Sector. Honourable members, we have already moved from strategy to implementation of the cotton strategy. Black Farmers some of whom assisted through LRAD are now being assisted to grow cotton on 9000ha of land in four provinces.
We further welcome the targets set by the established sugar industry to ensure the redistribution of at least 78 000ha of sugar producing lands to black farmers by 2015 as part of their contribution to the 30% national target of redistribution of agricultural land. In this year government has already committed R6million towards the first phase of the programme.
I am very pleased with the progress in some of the commodity sectors and wish to commend those who started working on the commodity strategies on their own such as the Ostrich Industry, the Stock Owners and the Wheat Industry. Proactive contributions from - particularly the private established sector is welcomed - it can only serve to contribute to a renewed business confidence, which in turn should contribute to the creation of new employment and self-employment opportunities in the sector.
Madam Chairperson and honourable members what do we commit ourselves to in this current year:
1. We shall work vigorously to continue implementation of land reform programme in alignment with the roll out of CASP and in partnership with the agricultural sector. The impact of our land reform programs must translate into equity and economic growth in the agricultural sector
2. A comprehensive implementation plan for the completion of the remainder of restitution claim that includes budgetary requirements for post settlement initiatives will be presented to the forum of Agricultural Minmec by the 1st week of July
3. Within two months we shall take to Cabinet and make public our agricultural biotechnology policy that is also intended to add to the scope of opportunity that exists for entrepreneurship and improving competitiveness of the agricultural sector
Together with the Department of Science and Technology we believe that the new bio-economy presents vast opportunities for the first and second economy in our country. In moving forward we believe the opportunity lies within the nexus of institutional efficiency, research and development and human resources development.
The work Madam Speaker and honourable members the work we have started on positioning the Agricultural Research Council to play an important role in the development of appropriate technologies that better responds to challenges of small and medium farmers, as well as established commercial sector will continue.
4. Through the ARC we shall develop a pilot technology incubator system for cut flowers by 31 January 2005, which will be used to develop resource poor farmers in rural communities. We shall further train 39 scientists by 31 December 2004 in Research for Development methods for resource poor farmers.
As indicated in the past the financing of agricultural is much of our concern as is it yours. This is so because of the negative impact that this has to our sector. The Laboratory at Onderstepoort Vaccine Institute will need some rehabilitation work in order for us to ensure that we can respond in time when we are required to do so.
We are Madam Speaker happy that with all the other challenges that we may have, the Onderstepoort Biological Factory continues to produce vaccines that are so crucial for the livelihood of our animal population. Our export figures even though still reflect the trade with countries mostly in Europe, they non-the less reflects a sturdy increase in the Continent.
Madam Speaker as indicated earlier, there is a need to focus on human resource development challenge. Over the past year my department has developed several policies and programmes. Of note is the bursary scheme - where this year we shall be awarding bursaries to 120 students in different universities.
Next month our first intake of interns will be completing their time with us. Of the 94 interns we took, 22 of them have already found jobs.
5. The department has already advertised for a new intake of 152 interns who will start with us from August onwards. Our experience points to a need to continue this programme of internships and to also encourage all our partners in private sector and the non-governmental sector to take up the challenge of exposing our youth to their work environment.
6.In partnership with the Pretoria University, Umsobomvu Youth Fund, NDA, EPA and 40 Agricultural Business Enterprises about 45/40 young agricultural graduates were placed in these enterprises with an aim of getting work experience at the same time linked to the furtherance of their academic careers.
7. Through the special bursary scheme for surveying, geomantic and cartography 57 young students from the historically disadvantaged communities have been awarded bursaries. During this current year 75 students have been awarded bursaries.
Madam speaker, Honourable Members - the Department of Agriculture is responsible for the delivery of a number of critical regulatory and control services aimed at ensuring that the country is disease free - with respect to both animal and plant diseases, and that we can certify and give the appropriate assurances to facilitate the exports of our agricultural produce. We work in collaboration with the department of health ensure that the food you all eat that is produced in South Africa is safe.
8. In this year we shall be presenting our food safety and traceability policy and implementing improved animal disease control measures.
8.1 I am therefore pleased to announce that after extensive discussion and negotiations with the South African Police Service and the Airports Company of South Africa (ACSA) we are now ready to launch a new inspection service at our ports of entry. We will start at Johannesburg International Airport by August this year and roll out to the other 76 land, sea and airports.
The President in his State of the Nation Address announced, "We will re-establish the Agricultural Credit Scheme (ACS) in the Department of Agriculture to provide capital for this sector, and that R1 billion is immediately available to start the ACS."
In August this year I will make a further announcement on the Scheme that we hope will stimulate greater access and participation in the broadening of rural financial markets.
Madam Chairperson and honourable members, our work programme for this year does indicate the need for closer alignment between these two departments whose budget we are debating today. If our land and agrarian reform is to succeed we need to ensure that joint planning occurs at an early stage. Our approach to work, as civil service will need take into consideration the commitment that our President and government have made to the people of our country. Indeed Batho Pele must be a living motto for us all. I therefore believe that if we work together in a people's contract with communities we can indeed make a better life for our people a reality.
I thank you.
Issued by: Ministry of Agriculture and Land Affairs
9 June 2004
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